Top Estate Planning Mistakes Farmers Make – Conclusion
We just finished a three part series on the top estate planning mistakes farmers make and we had some readers ask which one was most important? This is strictly my opinion, but I think the first one listed “procrastination” is the worst mistake farmers and probably all business owners make. Many farmers will never have to deal with corporations, partnerships, limited liability companies, etc. but all farmers will have to deal with both succession planning and their estate.
The sooner they take direct action, the more likely they will accomplish their goals, not what the government wants for their estate. Just simply taking advantage of the annual gift exclusion available over the last 20 years would allow farm families to give away $2-5 million in today’s dollar value without much work or effort.
Even if your plan is not perfect, it is much easier to correct things alongbthe way than to attempt to fix it at your death. It is up to you, but our advice is “Get Started Now”.
Paul Neiffer is a certified public accountant and business advisor specializing in income taxation, accounting services, and succession planning for farmers and agribusiness processors. Paul is a principal with CliftonLarsonAllen in Walla Walla, Washington, as well as a regular speaker at national conferences and contributor at agweb.com. Raised on a farm in central Washington, he has been immersed in the ag industry his entire life, including the last 30 years professionally. Paul and his wife purchase an 180 acre ranch in 2016 and enjoy keeping it full of animals.
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